Stock Analysis on Net
Stock Analysis on Net

Builders FirstSource Inc. (NYSE:BLDR)

This company has been moved to the archive! The financial data has not been updated since November 1, 2023.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Builders FirstSource Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Sep 30, 2023 34.37% = 14.66% × 2.34
Jun 30, 2023 42.86% = 17.34% × 2.47
Mar 31, 2023 52.47% = 23.32% × 2.25
Dec 31, 2022 55.40% = 25.95% × 2.14
Sep 30, 2022 53.73% = 24.33% × 2.21
Jun 30, 2022 52.22% = 22.19% × 2.35
Mar 31, 2022 42.69% = 18.19% × 2.35
Dec 31, 2021 35.93% = 16.10% × 2.23
Sep 30, 2021 25.76% = 13.16% × 1.96
Jun 30, 2021 16.34% = 8.43% × 1.94
Mar 31, 2021 9.58% = 5.09% × 1.88
Dec 31, 2020 27.20% = 7.51% × 3.62
Sep 30, 2020 21.33% = 5.35% × 3.98
Jun 30, 2020 22.62% = 5.50% × 4.11
Mar 31, 2020 23.38% = 5.47% × 4.27
Dec 31, 2019 26.89% = 6.83% × 3.94
Sep 30, 2019 29.84% = 7.05% × 4.23
Jun 30, 2019 32.33% = 7.01% × 4.62
Mar 31, 2019 34.42% = 6.80% × 5.06
Dec 31, 2018 34.41% = 7.00% × 4.92
Sep 30, 2018 — = — × 5.93
Jun 30, 2018 — = — × 7.20
Mar 31, 2018 — = — × 7.76

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2023 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

Builders FirstSource Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Sep 30, 2023 34.37% = 9.10% × 1.61 × 2.34
Jun 30, 2023 42.86% = 10.04% × 1.73 × 2.47
Mar 31, 2023 52.47% = 11.68% × 2.00 × 2.25
Dec 31, 2022 55.40% = 12.10% × 2.14 × 2.14
Sep 30, 2022 53.73% = 12.20% × 1.99 × 2.21
Jun 30, 2022 52.22% = 11.79% × 1.88 × 2.35
Mar 31, 2022 42.69% = 10.24% × 1.78 × 2.35
Dec 31, 2021 35.93% = 8.67% × 1.86 × 2.23
Sep 30, 2021 25.76% = 8.00% × 1.65 × 1.96
Jun 30, 2021 16.34% = 6.14% × 1.37 × 1.94
Mar 31, 2021 9.58% = 4.36% × 1.17 × 1.88
Dec 31, 2020 27.20% = 3.66% × 2.05 × 3.62
Sep 30, 2020 21.33% = 2.76% × 1.94 × 3.98
Jun 30, 2020 22.62% = 2.77% × 1.99 × 4.11
Mar 31, 2020 23.38% = 2.62% × 2.09 × 4.27
Dec 31, 2019 26.89% = 3.05% × 2.24 × 3.94
Sep 30, 2019 29.84% = 3.17% × 2.22 × 4.23
Jun 30, 2019 32.33% = 3.05% × 2.30 × 4.62
Mar 31, 2019 34.42% = 2.84% × 2.39 × 5.06
Dec 31, 2018 34.41% = 2.66% × 2.63 × 4.92
Sep 30, 2018 — = — × — × 5.93
Jun 30, 2018 — = — × — × 7.20
Mar 31, 2018 — = — × — × 7.76

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2023 is the decrease in profitability measured by net profit margin ratio.

Five-Component Disaggregation of ROE

Builders FirstSource Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Sep 30, 2023 34.37% = 0.78 × 0.92 × 12.78% × 1.61 × 2.34
Jun 30, 2023 42.86% = 0.77 × 0.93 × 13.95% × 1.73 × 2.47
Mar 31, 2023 52.47% = 0.77 × 0.94 × 16.12% × 2.00 × 2.25
Dec 31, 2022 55.40% = 0.77 × 0.95 × 16.59% × 2.14 × 2.14
Sep 30, 2022 53.73% = 0.77 × 0.95 × 16.81% × 1.99 × 2.21
Jun 30, 2022 52.22% = 0.77 × 0.95 × 16.21% × 1.88 × 2.35
Mar 31, 2022 42.69% = 0.77 × 0.95 × 14.03% × 1.78 × 2.35
Dec 31, 2021 35.93% = 0.77 × 0.94 × 12.00% × 1.86 × 2.23
Sep 30, 2021 25.76% = 0.77 × 0.94 × 11.13% × 1.65 × 1.96
Jun 30, 2021 16.34% = 0.77 × 0.91 × 8.79% × 1.37 × 1.94
Mar 31, 2021 9.58% = 0.78 × 0.84 × 6.68% × 1.17 × 1.88
Dec 31, 2020 27.20% = 0.77 × 0.75 × 6.35% × 2.05 × 3.62
Sep 30, 2020 21.33% = 0.79 × 0.67 × 5.20% × 1.94 × 3.98
Jun 30, 2020 22.62% = 0.79 × 0.66 × 5.28% × 1.99 × 4.11
Mar 31, 2020 23.38% = 0.80 × 0.64 × 5.13% × 2.09 × 4.27
Dec 31, 2019 26.89% = 0.78 × 0.72 × 5.39% × 2.24 × 3.94
Sep 30, 2019 29.84% = 0.77 × 0.74 × 5.56% × 2.22 × 4.23
Jun 30, 2019 32.33% = 0.78 × 0.73 × 5.35% × 2.30 × 4.62
Mar 31, 2019 34.42% = 0.77 × 0.73 × 5.08% × 2.39 × 5.06
Dec 31, 2018 34.41% = 0.79 × 0.71 × 4.78% × 2.63 × 4.92
Sep 30, 2018 — = — × — × — × — × 5.93
Jun 30, 2018 — = — × — × — × — × 7.20
Mar 31, 2018 — = — × — × — × — × 7.76

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Two-Component Disaggregation of ROA

Builders FirstSource Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Sep 30, 2023 14.66% = 9.10% × 1.61
Jun 30, 2023 17.34% = 10.04% × 1.73
Mar 31, 2023 23.32% = 11.68% × 2.00
Dec 31, 2022 25.95% = 12.10% × 2.14
Sep 30, 2022 24.33% = 12.20% × 1.99
Jun 30, 2022 22.19% = 11.79% × 1.88
Mar 31, 2022 18.19% = 10.24% × 1.78
Dec 31, 2021 16.10% = 8.67% × 1.86
Sep 30, 2021 13.16% = 8.00% × 1.65
Jun 30, 2021 8.43% = 6.14% × 1.37
Mar 31, 2021 5.09% = 4.36% × 1.17
Dec 31, 2020 7.51% = 3.66% × 2.05
Sep 30, 2020 5.35% = 2.76% × 1.94
Jun 30, 2020 5.50% = 2.77% × 1.99
Mar 31, 2020 5.47% = 2.62% × 2.09
Dec 31, 2019 6.83% = 3.05% × 2.24
Sep 30, 2019 7.05% = 3.17% × 2.22
Jun 30, 2019 7.01% = 3.05% × 2.30
Mar 31, 2019 6.80% = 2.84% × 2.39
Dec 31, 2018 7.00% = 2.66% × 2.63
Sep 30, 2018 — = — × —
Jun 30, 2018 — = — × —
Mar 31, 2018 — = — × —

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2023 is the decrease in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Builders FirstSource Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Sep 30, 2023 14.66% = 0.78 × 0.92 × 12.78% × 1.61
Jun 30, 2023 17.34% = 0.77 × 0.93 × 13.95% × 1.73
Mar 31, 2023 23.32% = 0.77 × 0.94 × 16.12% × 2.00
Dec 31, 2022 25.95% = 0.77 × 0.95 × 16.59% × 2.14
Sep 30, 2022 24.33% = 0.77 × 0.95 × 16.81% × 1.99
Jun 30, 2022 22.19% = 0.77 × 0.95 × 16.21% × 1.88
Mar 31, 2022 18.19% = 0.77 × 0.95 × 14.03% × 1.78
Dec 31, 2021 16.10% = 0.77 × 0.94 × 12.00% × 1.86
Sep 30, 2021 13.16% = 0.77 × 0.94 × 11.13% × 1.65
Jun 30, 2021 8.43% = 0.77 × 0.91 × 8.79% × 1.37
Mar 31, 2021 5.09% = 0.78 × 0.84 × 6.68% × 1.17
Dec 31, 2020 7.51% = 0.77 × 0.75 × 6.35% × 2.05
Sep 30, 2020 5.35% = 0.79 × 0.67 × 5.20% × 1.94
Jun 30, 2020 5.50% = 0.79 × 0.66 × 5.28% × 1.99
Mar 31, 2020 5.47% = 0.80 × 0.64 × 5.13% × 2.09
Dec 31, 2019 6.83% = 0.78 × 0.72 × 5.39% × 2.24
Sep 30, 2019 7.05% = 0.77 × 0.74 × 5.56% × 2.22
Jun 30, 2019 7.01% = 0.78 × 0.73 × 5.35% × 2.30
Mar 31, 2019 6.80% = 0.77 × 0.73 × 5.08% × 2.39
Dec 31, 2018 7.00% = 0.79 × 0.71 × 4.78% × 2.63
Sep 30, 2018 — = — × — × — × —
Jun 30, 2018 — = — × — × — × —
Mar 31, 2018 — = — × — × — × —

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Builders FirstSource Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Sep 30, 2023 9.10% = 0.78 × 0.92 × 12.78%
Jun 30, 2023 10.04% = 0.77 × 0.93 × 13.95%
Mar 31, 2023 11.68% = 0.77 × 0.94 × 16.12%
Dec 31, 2022 12.10% = 0.77 × 0.95 × 16.59%
Sep 30, 2022 12.20% = 0.77 × 0.95 × 16.81%
Jun 30, 2022 11.79% = 0.77 × 0.95 × 16.21%
Mar 31, 2022 10.24% = 0.77 × 0.95 × 14.03%
Dec 31, 2021 8.67% = 0.77 × 0.94 × 12.00%
Sep 30, 2021 8.00% = 0.77 × 0.94 × 11.13%
Jun 30, 2021 6.14% = 0.77 × 0.91 × 8.79%
Mar 31, 2021 4.36% = 0.78 × 0.84 × 6.68%
Dec 31, 2020 3.66% = 0.77 × 0.75 × 6.35%
Sep 30, 2020 2.76% = 0.79 × 0.67 × 5.20%
Jun 30, 2020 2.77% = 0.79 × 0.66 × 5.28%
Mar 31, 2020 2.62% = 0.80 × 0.64 × 5.13%
Dec 31, 2019 3.05% = 0.78 × 0.72 × 5.39%
Sep 30, 2019 3.17% = 0.77 × 0.74 × 5.56%
Jun 30, 2019 3.05% = 0.78 × 0.73 × 5.35%
Mar 31, 2019 2.84% = 0.77 × 0.73 × 5.08%
Dec 31, 2018 2.66% = 0.79 × 0.71 × 4.78%
Sep 30, 2018 — = — × — × —
Jun 30, 2018 — = — × — × —
Mar 31, 2018 — = — × — × —

Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the decrease in net profit margin ratio over Q3 2023 is the decrease in operating profitability measured by EBIT margin ratio.